- U.S. Ethereum ETFs record positive inflows of $5.84M on August 28, signaling renewed investor interest in ETH.
- BlackRock iShares Ethereum Trust contributes significantly with $8.4M in inflows, breaking a five-day streak of zero activity.
Ethereum ETFs have experienced a shift towards positive inflows on August 28, following two weeks of consistent outflows. These ETFs, notably including the BlackRock ETHA, witnessed a substantial increase in investment, with inflows totaling $5.84 million on that Wednesday alone.
The Ethereum market, reflecting this positive financial movement, also showed a notable increase in its price. Ethereum’s price surged, aligning with the increased inflows into its ETFs, and closed at $2,541.
In ETHNews, we report some positive signs for ETH investors, the price recovery comes after a period where the cryptocurrency displayed signs of overselling, according to the RSI. The RSI, rebounded from below 30, an indicator typically viewed as an oversold condition, suggesting a potential rally.
Further technical analysis shows that the RSI line not only recovered but began establishing higher lows, a pattern typically associated with bullish momentum. The index moved above the signal line, indicating potential buying opportunities and suggesting a continuation of the current upward price trend.
However, caution remains as the RSI is still below the neutral threshold of 50, advising potential buyers to watch for more stable conditions before committing heavily.
In the broader context, Ethereum’s market are also influenced by comparisons with Bitcoin (BTC).
Recent trading patterns have shown Ethereum outperforming Bitcoin, as we reported in ETHNews, yet traders, including DaanCrypto, express concern that this strength might be fleeting and lead to further corrections.
“ETH is doing that thing again where it is somewhat “stronger” than BTC for a few hours. I’m a bit scared as that has usually led to more pain this year,” the trader said.
Moreover, the Ethereum MVRV ratio has decreased to levels that suggest the asset might be undervalued, presenting a potentially attractive buying opportunity for long-term investors.
Additionally, funding rates for Ethereum have turned positive, hinting at a growing bullish sentiment among traders.
